TRUCK LIABILITY

Insurance can be a significant part of a trucking company’s budget. To better match the cost of insurance with trucking company operations, Joe Morten & Son, through Great West Casualty Company, is able to break down insurance premiums into monthly payments, based on gross revenue, mileage, or the value of your equipment.

Liability and Physical Damage Coverage

• Gross revenue method

Your premium rate calculation is based on the estimated annual gross revenue. Your premium payments are reflected by actual monthly revenue activity.

• Mileage method 

Your premium rate calculation is based on the estimated annual mileage. The amount of laden and unladen mileage put on all insured units per month determines what you pay. The monthly premium reflects actual monthly mileage versus an estimate.

• Per unit method

Your premium is determined by reporting the actual number of revenue-generating power units in operation throughout the month.

Physical Damage Coverage Only

• Equipment value method

Your annual premium is based on the actual cash value of your equipment at the time the policy is issued. Monthly premium payments are adjusted according to your equipment’s depreciation schedule and the value of new, substituted, or deleted equipment as of the reporting date.

• Smaller carriers

If you are a smaller carrier, we also offer installment premium payment plans based on the following criteria:

• Nine or fewer units
• Less than $1 million in revenue
• Fewer than one million miles

A Commercial Auto Extension is especially important when you trip lease. We recommend adding this endorsement to provide blanket coverage to protect you when you have a truck loan or lease and for some common types of contracts and agreements.

It covers you for these two common agreements, which are typically excluded from your Truck Liability Insurance (Auto Liability Insurance):

• A contract or agreement for the loan, lease, or rental of a truck with a driver, the terms of which require you to hold the lessor harmless for any liability loss.
• A contract or agreement under which you trip lease to another trucker, the terms of which require you to provide the primary liability insurance.
  

Commercial Auto Extension is affordable and has the added advantage of deleting the exclusion in your Cargo Coverage that applies to liability under a lease agreement.